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Mr. Boni
Technology
Online Merchandising: Steps to Capitalizing on Travel Websites
By Paolo Boni, President & Chief Executive Officer, VFM Leonardo, Inc.
Today's travelers are choosing hotels that inspire them and effectively articulate why their rooms and amenities are 'worth' the price. But hotel listings on travel sites are typically lackluster and undifferentiated with unclear value propositions. The challenge for hoteliers is this: successfully conveying their hotel's unique value on the sites travel shoppers use to research and compare hotels online. Hoteliers can capitalize on their presence on travel websites by applying online merchandising techniques and using visual content to their advantage.
The Internet is an essential tool for travelers and those looking to attract them. Travel suppliers, including airlines, attractions, car rental companies and hotels are faced with the challenge of cutting through the clutter of the online travel environment. Due to the economic downturn, hoteliers have to work even harder to compete for guests online and capitalize on their presence on travel websites.
Even as travelers reduce the number of trips they are willing to take, they are continuing to seek high quality travel experiences. "The economy makes travel more precious," contends Henry Harteveldt, Vice President and Principal Analyst with Forrester Research. Today's travelers are choosing the hotels that inspire them and effectively articulate why their rooms and amenities are 'worth' the price. Shoppers need help visualizing how your hotel can provide the experience they're seeking.
Applying online merchandising techniques is a critical step hoteliers can take to capitalize on travel websites - the sites that travelers use to used to research and compare travel products online. This includes more than just booking engines, but also travel review sites, portals, meta-search engines, among others. Today, hotel listings on travel sites are typically lackluster and undifferentiated with unclear value propositions.
Successful retailers live or die by their merchandising skills. In retail, merchandising refers to the variety of products available for sale and the display of those products in ways that stimulate interest and entice customers to purchase. Travel websites are the retail stores in which hoteliers can effectively merchandise their properties in ways that stimulate interest and entice travel shoppers to book.
A study by Forrester Research revealed that general search engines (61%) and web-based travel agencies (55%) are the top destinations for online leisure travel research.(i) According to McKinsey, consumers begin their initial considerations with a relatively narrow list of options, and then they move into active evaluation where the number of options increases, often due to the wealth and availability of information online. In order to even be considered, hotels need to be available on travel websites when shoppers are actively evaluating their options.
But, when a travel shopper searches on Google, how do you know which website they're going to visit first? You don't, but it's more than likely they will find it on a travel website first (before your brand's website or your own hotel website). In order to maximize revenue, marketers must engage traveler shoppers online across the entire travel planning and booking process(ii). meaning all of the websites travel shoppers use to research, compare and book hotels online.
Merchandising involves making a good first impression, wherever and whenever a shopper finds your hotel online. For online travel shoppers, their first impression of your hotel takes place online. With such busy lives the window of opportunity to inspire and motivate online travel shoppers to choose your hotel is limited. Put your best foot forward, so that guests are more likely to book and set foot in your hotel, rather than the one down the street instead of just selling a hotel room, sell an experience. One way to go about this is by providing as much visual and descriptive content on travel websites as possible:
Photos -
Photos, because they're required by travel websites are often overlooked, but their composition and selection should be carefully considered. A hotel's collection of photos on travel websites should include more than "brand shots," but photos that show how guests really experience and enjoy your hotel - show a couple taking in the spectacular ocean view from the deluxe suite, a family enjoying an afternoon snack in their in-room kitchenette, or business contacts conducting a meeting over dinner in the restaurant.
Virtual tours -
Virtual tours show the rooms and amenities from every angle and perspective and provide a realistic idea of what the hotel is like - what equipment is in the fitness center, how much storage space is available in the guestrooms, etc, which is important because travelers come from different generations, demographic and behavioral groups. Some travel alone; others with spouses or families. Some are leisure travelers; some business travelers. The point is, guests have different needs and virtual tours help guests easily evaluate whether or not your hotel meets their needs.
Videos -
Videos tell stories and bring your hotel to life by creating emotional connections with guests. Whether it's a guided tour of the hotel by the General Manager, a "day in the life" story, or a series of videos showcasing different areas of your hotel, video is your way to be creative, set your hotel apart and inspire lookers to become bookers. According to comScore, exposure to online video can lead to a 40 percent increase in buying. "For people who are wondering whether they should book a room, video will be that final little tap that will say, absolutely the place is awesome," Susan Shields, General Manager of the Kimber Modern in Austin, Texas.
Written descriptions -
Accurate and relevant written descriptions that highlight the unique features and benefits of your hotel is most effective when it complements your visuals.
Online travel shoppers are especially discerning and need to feel confidence before clicking "book now" or picking up the phone to make a reservation. The details matter. If a hotel boats about beautiful views of the mountains but none of the visuals actually show them, this can negatively impact the consumer's confidence in that hotel. If your guestrooms have spectacular mountain views (or whatever it is that makes your hotel unique), then show them off! Merchandising unity involves ensuring that travel shoppers see the same visual content wherever they look whether on brand websites, hotel websites, or travel websites, while a lack of unity on online channels can break consumers' trust and confidence in your hotel.
"Unofficial" content, reviews, photos and videos, posted by guests on travel websites should not take the place of "official" content, meaning visual and written content provided by the hotel. Travel shoppers want to see both sides of the story. That's why TripAdvisor is so popular and has more than 30 million unique visitors every month, according to TripAdvisor.com. If you don't have any official content on travel sites like TripAdvisor, you're giving consumers complete control over what is said about your hotel, which is not only detrimental to your merchandising unity but (depending on what is said and shared) may also be impacting your bookings.
What it really takes to boost bookings and capitalize in a market overflowing with options, is differentiation. Here's what hoteliers and hotel marketers need to do to differentiate online:
- Know your guests needs, preferences and priorities and clarify the unique value your hotel provides your guest segments.
- Market your hotel on travel websites by providing relevant, informative yet intriguing content in ways that sets it apart from the competition.
- Highlight specific hotel attributes with photos, videos and virtual tours that motivate travel shoppers to book your hotel.
- Give the travel shopper a sense of actually being at your hotel so that it makes them want to be there.
By improving merchandising, hotels can capitalize on their presence on travel websites and gain additional bookings as proven by a study of a full-service hotel chain that found consumers who view rich media (video and virtual tours) are 76% more likely to book than similar consumers who do not.
To witness superb merchandising, check out the Best Western Battle Ground Inn & Suites. Regardless of where you view this hotel, on the hotel website brand site, TripAdvisor, Travelocity and YouTube, you'll see the highlighted selling points - its close proximity to Mount St. Helens and spectacular views that differentiates the hotel is consistently presented in its visual content.
There are thousands of travel websites out there, many of which you're probably already listed on, why not capitalize on that? By distributing visual content to these sites using a visual content distribution network you ensure that your hotel online is presented online in a way that entices travel shoppers to book.
References:
(i) PhoCusWright, "Consumer Travel Report Part 1," April 2009.
Paolo Boni has lead VFM Leonardo’s vision and strategic direction since 2001. Under his leadership, the company has expanded globally and now has over 80,000 hotels, over 30,000 travel related website partners worldwide and the largest online visual content distribution network for the travel industry. As a recognized travel industry expert, Mr. Boni frequently speaks at major travel conferences on subjects relating to online travel marketing, online hotel merchandising and rich media. He holds an LL.B. from Osgoode Hall Law School and a B.A. Economics from McGill University. Mr. Boni can be contacted at 1-877-593-6634 or press@vfmleonardo.com Extended Bio...
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